DraftFCB to close Melbourne operation

DraftFCB is to close its Melbourne operation following the loss of key client Honda, Mumbrella can reveal.

The Interpublic Group-owned agency lost the car client to Leo Burnett after a pitch on Friday of last week.

A statement from the agency reads:

With the recent loss of the Honda business, Draftfcb will close its Melbourne office and concentrate on further developing the network’s Sydney operations. Draftfcb will fulfil its commitments to Honda to effect a smooth turnover to the new agency and continue discussions with other Melbourne-based clients as to the best way forward to manage their businesses. For our staff, we are looking at placement options for those interested in moving to another Draftfcb office and we are helping where possible to assist them find new employment opportunities locally in Melbourne.

The agency has around 20 staff and account including Kraft’s Oreo, National Stroke Foundation, Vitasoy and depression charity Headspace.

Last week, after the Honda loss, DraftFCB’s Melbourne GM Tim Higginson said: “DraftFCB Melbourne is very proud of the work and the results we’ve achieved with Honda over the course of our relationship, and are obviously disappointed by this decision. We believe our vision and plans for Honda in Australia would continue to build a relevant and powerful brand presence. We wish Honda well with their new agency.”